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You're thinking about it all wrong. Lots of "Bitcoiners" don't really see it as an "investment". It's a savings. There's no greater fool to sell to as exit liq

You're thinking about it all wrong. Lots of "Bitcoiners" don't really see it as an "investment". It's a savings. There's no greater fool to sell to as exit liquidity because we're not looking to sell. We're holding for as long as possible i.e. retirement or inheritance, at which point we won't need to sell, we'll SPEND it. Notice the difference? We know there are still decades of price discovery to occur, so the incentive is to spend as little as possible for as long as possible, but in a couple of decades most of the price discovery will have occurred and it will have integrated more with the economy and financial system, at which point it will be easy to use as a currency to buy things. And yes, it acts as a currency just fine as proven in El Zonte/El Salvador and other places... including every major retailer in America [1] [1] https://bitcoinmagazine.com/industry-events/jack-mallers-adding-bitcoin-to-major-pos-networks https://bitcoinmagazine.com/industry-events/jack-mallers-add...

AlexandrB 5y ago
This... doesn't make sense. Spending is selling. You're just selling for something other than currency. And saying "it's not an investment, it's a savings" is nonsense. If Bitcoin didn't appreciate in value no one would use it as "savings" because it would lose value relative to inflation. People usually "HODL" Bitcoin or Ether, not USDT or USDC.
- Quindecillion 5y ago
  > This... doesn't make sense. Spending is selling. You're just selling for something other than currency. When you go to the shop and you buy something with money, do you consider that as "SELLING your money"? This is the nuance I was getting at. When I can use Bitcoin to buy stuff it will be widely accepted and valued as money. By the time that's possible, how much do you expect its purchasing power will have appreciated? > And saying "it's not an investment, it's a savings" is nonsense. If Bitcoin didn't appreciate in value no one would use it as "savings" because it would lose value relative to inflation. Of course, but it IS appreciating in value against fiat. Why do you think that is? Could it be that fiat is literally designed to be inflationary and Bitcoin is designed to be disinflationary for over a hundred years?
FabHK 5y ago
> And yes, it acts as a currency just fine as proven in El Zonte/El Salvador A journalist that went to El Salvador and tried to use BTC to pay begs to differ: > By Friday the final tally looks grim for crypto fans. Only 10 of almost 50 businesses had taken Bitcoin, amounting to $485 out of $1,700 I’ve spent. And only four crypto transactions—at the pool hall, the peanut vendor, a Starbucks, and a Caterpillar-brand T-shirt store—had been entirely seamless. My experience isn’t a fluke. In a recent Chamber of Commerce survey of 337 businesses, only 14% said they’d transacted in Bitcoin since September. https://www.bloomberg.com/features/2022-bitcoin-travel-problems/ https://www.bloomberg.com/features/2022-bitcoin-travel-probl...
- Quindecillion 5y ago
  None of that surprises me. It's the first country to ever adopt Bitcoin as legal tender. Of course there are going to be technical teething issues. And the % adoption is unsurprising too. It's going to take years, probably decades, to build trust in Bitcoin. No one in the right mind thinks Bitcoin is just going to take over all economic activity within checks watch SEVEN MONTHS. You have to be realistic. But all that being said, in combination with the Lightning protocol it's still proving itself useable as a currency in several examples now.

AlexandrB 5y ago

This... doesn't make sense. Spending is selling. You're just selling for something other than currency. And saying "it's not an investment, it's a savings" is nonsense. If Bitcoin didn't appreciate in value no one would use it as "savings" because it would lose value relative to inflation. People usually "HODL" Bitcoin or Ether, not USDT or USDC.

Quindecillion 5y ago
> This... doesn't make sense. Spending is selling. You're just selling for something other than currency. When you go to the shop and you buy something with money, do you consider that as "SELLING your money"? This is the nuance I was getting at. When I can use Bitcoin to buy stuff it will be widely accepted and valued as money. By the time that's possible, how much do you expect its purchasing power will have appreciated? > And saying "it's not an investment, it's a savings" is nonsense. If Bitcoin didn't appreciate in value no one would use it as "savings" because it would lose value relative to inflation. Of course, but it IS appreciating in value against fiat. Why do you think that is? Could it be that fiat is literally designed to be inflationary and Bitcoin is designed to be disinflationary for over a hundred years?

FabHK 5y ago

> And yes, it acts as a currency just fine as proven in El Zonte/El Salvador A journalist that went to El Salvador and tried to use BTC to pay begs to differ: > By Friday the final tally looks grim for crypto fans. Only 10 of almost 50 businesses had taken Bitcoin, amounting to $485 out of $1,700 I’ve spent. And only four crypto transactions—at the pool hall, the peanut vendor, a Starbucks, and a Caterpillar-brand T-shirt store—had been entirely seamless. My experience isn’t a fluke. In a recent Chamber of Commerce survey of 337 businesses, only 14% said they’d transacted in Bitcoin since September. https://www.bloomberg.com/features/2022-bitcoin-travel-problems/ https://www.bloomberg.com/features/2022-bitcoin-travel-probl...

Quindecillion 5y ago
None of that surprises me. It's the first country to ever adopt Bitcoin as legal tender. Of course there are going to be technical teething issues. And the % adoption is unsurprising too. It's going to take years, probably decades, to build trust in Bitcoin. No one in the right mind thinks Bitcoin is just going to take over all economic activity within checks watch SEVEN MONTHS. You have to be realistic. But all that being said, in combination with the Lightning protocol it's still proving itself useable as a currency in several examples now.